Google employees in the US who choose to work from home permanently rather than in the office may receive a blow to their salary. How?
The Silicon Valley technology giant created a new compensation calculator that lets employees see the results of working from home or moving offices.
Where Will New Pay Measures Be Implemented?
Some remote workers, especially those with long commute to work, may have their salaries reduced without changing their address.
Google has no plans yet to implement the policy in the UK or any other region. But in the United States, they are all set to introduce the measures.
Employees in many businesses have proven that permanent WFH is possible after the Covid pandemic hit.
What Are Other Companies Doing?
Many companies are looking forward to how workers will work as the pandemic dilemma subsides.
Silicon Valley firms, some of whom are keen to get workers back to their office tables are experimenting with new sort of compensation packages for workers.
Major tech companies including Microsoft, Facebook, and Twitter have given less pay to employees who are working in areas where it is much cheaper to stay.
But smaller firms such as Reddit and Zillow have said they will pay the same amount wherever workers live, saying this improves diversity.
Google Spokesperson
A Google spokesman said: “Our compensation packages have always been determined by location, and we always pay at the top of the local market based on where an employee works from.
“Our new Work Location Tool was developed to help employees make informed decisions about which city or state they work from and any impact on compensation if they choose to relocate or work remotely.”
Some businesses, such as the US technology giant Cisco, have set up a mix of office and remote working.
Hybrid Working Model
Cisco expects less than a quarter of its employees to be in office three days or more a week.
But some firms, such as Goldman Sachs, want workers to return to office.
Investment bank manager David Solomon in February said working from home was “a distraction” rather than “a new routine”.